German automaker Volkswagen saw its global sales fall in 2024. This means Japanese rival Toyota Motor will take pole position for a fifth year in a row.

Volkswagen announced on Tuesday it sold 9.02 million cars worldwide last year. That's down 2.3 percent from 2023.

Sales in the key Western European market were more or less flat. But the company suffered a 9.5 percent drop year-on-year in China due to fierce competition from local automakers. The Chinese market accounts for over 30 percent of Volkswagen's deliveries.

The company sold 744,800 battery-powered electric vehicles worldwide, down 3.4 percent from the previous year. Slowing demand for EVs weighed on sales in Europe and the United States.

The German automaker announced plans in December to reduce production capacity and cut more than 35,000 workers to slash costs.

Toyota has yet to release its final group-wide figures for 2024. But it had sold more than 9.85 million units as of November, which exceeds Volkswagen's total figure.